Ferial Haffajee: Make black tax deductible

[Blue Shirt]

Ferial Haffajee: Make black tax deductible

https://m.fin24.com/Opinion/ferial-haffajee-make-black-tax-deductible-20190926

There's a credit that we don't often enough pat ourselves on the back for as South Africans. Every single month, come a downgrade, come yawning budget deficit or widening trade balance, we pay 18 million social grants in a form of solidarity to compatriots.
I say 'we' because it's solidarity from all to all – after all, it's paid from personal, corporate and VAT collections. It is huge; almost certainly the largest form of social solidarity on the continent and it is up there among the better systems in the developing world.

 

[daveza]

How about no.

 

[Blue Shirt]

More racist drivel from the N24 media.

What about Indian tax, Coloured tax and White tax? Should these not also be deductible if SARS would ever allow such a hairbrained scheme?

I expected better from Ms Haffajee.

 

[C4Cat]

More racist drivel from the N24 media.

What about Indian tax, Coloured tax and White tax? Should these not also be deductible if SARS would ever allow such a hairbrained scheme?

I expected better from Ms Haffajee.

WTF is Indian tax, Coloured tax and White tax?

 

[Gordon_R]

Pro tips:
1. When posting a link from a mobile device, remove the 'm' and replace with 'www'.
2. When extracting text from an article, please place in quotes.

 

[r4nd0m]

Remove the keyword 'black' and let's call it 'Family tax'. Okay so you want a deduction under the label of family tax.

Should we have a deduction for helping family? Well, why doesn't the rest of the world have it? Surely they help their family members too?

On one hand, you are indeed helping people. On the other hand, these people are not strangers and there is a conflict of interest. Shouldn't government be helping these people instead? This problem seems systemic of the governance of our country.

If there was good governance, education and employment prospects then this 'family tax' would not have to be done.

 

[Steamy Tom]

it's called condoms and they get handed out for free at clinics etc

 

[krycor]

Remove the keyword 'black' and let's call it 'Family tax'. Okay so you want a deduction under the label of family tax.

Should we have a deduction for helping family? Well, why doesn't the rest of the world have it? Surely they help their family members too?

On one hand, you are indeed helping people. On the other hand, these people are not strangers and there is a conflict of interest. Shouldn't government be helping these people instead? This problem seems systemic of the governance of our country.

If there was good governance, education and employment prospects then this 'family tax' would not have to be done.

Agree but the reason this is deductible is that it removes the need for the state to take care of you/them. Ie if you supporting a family member who is retrenched, studying or retired and they are not claiming from the state then yes, I agree with the notion that it is tax deductible from the tax paying person u stay with if proven.

But what at what cost is this gonna be from an auditing perspective? I suspect that it is easier, cheaper and less abusive to allow paying out benefits than doing deductibles.

The racial tie in.. bleh, all families would need to qualify. Everyone is suffering from the economic slowdown last I checked and supporting relatives is not limited by race.

PS. I reckon they need to up the education tax benefit CTC threshold. Ie where you structure your salary such that your kids school or university fees (well part of it) is regarded as a bursary from work.

This has a CTC limit of R600k,
Grade R to Grade 12 or NQF level 1 – 4: R20 000 per annum per child,
NQF level 5 – 10: R60 000 per annum per child.

How you can save tax on school fees

There's an often-overlooked tax relief option in the Income Tax Act.

www.moneyweb.co.za

 

[r4nd0m]

Yea this is definitely not a racial or South African thing. Supporting ones family is natural and happens everywhere, but probably not with everyone.

Apart from being an auditing nightmare, there is a conflict of interest. Government usually dictates how much financial assistance people get. It's shared across equally or equally across set groups (the old, the disabled, etc...).

If you get to be the judge of that (where money that assists people, goes), that means there's less in the pool to go around to others (who aren't your family).

Still this seems to be addressing the the symptom, rather than fixing the problem. Similar to getting more money from tax payers, rather than going after those involved in corruption.

 

[Sinbad]

Agree but the reason this is deductible is that it removes the need for the state to take care of you/them.

I'll bet you anything that the recipients of this black tax are also getting grants.

 

[C4Cat]

I'll bet you anything that the recipients of this black tax are also getting grants.

And so what if they are?

 

[r4nd0m]

And so what if they are?

Do you like being helped constantly? I like helping people get back on their feet or teaching a man/woman to fish sort of vibe, but not to continually be their provider.

This welfare mentality has to GTFO. People have no personal pride and the entitlement is rife these days. They don't mind being leeches.

This is coming from someone who has been on 'that side' due to ill-health and sickness. People have helped me and I thank them dearly for it, but as soon as I could, I helped myself.

I'm all for a helping hand, but not hand-outs. Go and work, earn and struggle to make your success like the rest of us.

The problem is that the governance of the country is fubar'd. Lack of skills for lucrative jobs. Extreme entitlement. Snowflake complex.

 

[Sinbad]

And so what if they are?

If you make the donations deductible, then it's a double burden on the tax payer if the recipients also get grants.

 

[Willie Trombone]

How about no.

How about yes, but the requirement has nothing to do with race. If I have to support my parents, kids and wife monthly, it should be tax deductable.

 

[Willie Trombone]

If you make the donations deductible, then it's a double burden on the tax payer if the recipients also get grants.

If anything, it may force government's hand to implement something better than income tax.

 

[ToxicBunny]

Straight up get fscked ferial... This is a stupid bloody idea...

 

[TheChamp]

Do you like being helped constantly? I like helping people get back on their feet or teaching a man/woman to fish sort of vibe, but not to continually be their provider.

This welfare mentality has to GTFO. People have no personal pride and the entitlement is rife these days. They don't mind being leeches.

This is coming from someone who has been on 'that side' due to ill-health and sickness. People have helped me and I thank them dearly for it, but as soon as I could, I helped myself.

I'm all for a helping hand, but not hand-outs. Go and work, earn and struggle to make your success like the rest of us.

The problem is that the governance of the country is fubar'd. Lack of skills for lucrative jobs. Extreme entitlement. Snowflake complex.

But who said black tax recipients won't help themselves as soon as they can just like you?

 

[BBSA]

This sounds like discrimination, do we really have too use race as criteria?

 

[ɹǝuuᴉM]

But who said black tax recipients won't help themselves as soon as they can just like you?

But according to this racist map they can't

 

[ForceFate]

But according to this racist map they can't

People have been helping their relatives through tertiary education and in starting small businesses all these years. What thechamp posted isn't a proposal in case you're wondering. I thought you'd figure this out.